LASERBOND LIMITED — Capital/Financing Update 2012

May 15, 2012

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16 May 2012

LaserBond announces Placement and SPP

LaserBond is pleased to announce that it has successfully completed a placement of 9,100,000 shares (Placement Shares) at $0.23 per share to raise $2.1 million. The issue price represents a discount of 12.4% to the volume weighted average price of the Company’s shares for the 5 trading days up to and including 8 May 2012. The placement was made to new professional and sophisticated investors, and the Placement Shares will rank equally with existing ordinary shares.

The Placement Shares will be issued on or around 22 May 2012 upon receipt of cleared funds, and are within the Company’s existing 15% capital issue limit under ASX Listing Rule 7.1.

Investorfirst Securities acted as Lead Manager to the placement.

Referring to the placement, Executive Director Greg Hooper said, “ We are very pleased to have raised these funds to assist LaserBond to expand its operations for the future benefit of all shareholders. The high calibre professional investors and institutions that participated are a welcome addition to our share register ”.

In addition, LaserBond will offer its current shareholders an opportunity to participate in a Share Purchase Plan (SPP) at the same price as the placement, to raise up to $900,000. The SPP is not formally underwritten, but the Company may place the shortfall, subject to shareholder approval.

Under the SPP, eligible shareholders will be entitled to subscribe for up to $15,000 of LaserBond shares at $0.23 per share. The Record Date for eligibility to participate in the SPP is Tuesday 8 May 2012. The Company reserves the right to scale back applications.

A full timetable and documentation for the SPP will be issued in due course.

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Matthew Twist Company Secretary